Bruce, NEM fell 4% last night but not as bad as many other US gold stocks I track ... they fell (5%-9%). NEM has next long term support at between US$30-$31 ($30.50). This will be the line in the sand that makes or breaks this trade. I personally think it was oversold today and will bounce next week. I am still looking for AU$5.05 to break and hold for a few days, although a contrarian investor might be tempted to pick a low around US$31 and buy in then ;)
The price of gold fell some $5 in the US last night. This might cause a sell off in shares today but gold is still good technically and in an uptrend. It's 200 day MA is the key here and if it breaks $340 for a few days I say gold is going much lower but IMO it won't crack the 200 DMA. By Friday gold will have recovered to levels we were at yesterday, huge call but I stick by it. And by the way gold will not hit $300 for years, many years that is!
